For Immediate Release
July 15, 2026
Case Update: Judge Grants Final Approval in Class Action Settlement for Nurses in CommuniCare, WorldWide HealthStaff Recruitment Case
Settlement Provides $1 Million to Nurses and $1.2 Million in Relief of Alleged Debt for Class Members
Cincinnati, Ohio — A federal judge granted final approval today for a settlement in a class action matter that will pay $1 million and provide approximately $1.2 million more in debt relief to a class of approximately 220 nurses in Ohio, Pennsylvania, Indiana, Maryland, Missouri, West Virginia, and Virginia. This settlement, which was granted preliminary approval in February 2026, resolves allegations that CommuniCare Family of Companies (CommuniCare) and WorldWide HealthStaff Solutions (WorldWide) failed to pay nurses for time worked and used “stay-or-pay” contracts to illegally force nurses to repay immigration costs, plus other alleged penalties for leaving their jobs.
Plaintiff Ariane Rose Villarin, who represents a class of similarly situated workers, alleged that CommuniCare and its recruiting agent, WorldWide, entered illegal arrangements in their recruitment efforts in hiring nurses from the Philippines. She alleged that the companies sponsored class members through the immigration process and required them to sign contracts committing to work for them for three years. In the event a worker left employment before three years of work, the Plaintiff alleged that a worker would be expected to pay thousands of dollars to CommuniCare. CommuniCare in fact pursued a number of claims against nurses in state court, seeking tens of thousands in alleged damages. The Plaintiff also alleged that the Defendants’ conduct violated the Trafficking Victims Protection Act (TVPA), Fair Labor Standards Act (FLSA), and related laws.
“We are grateful to the Court that it approved this settlement on behalf of a class of CommuniCare nurses brought to the United States to provide nursing services,” said Hugh Baran, partner at Katz Banks Kumin LLP. “These nurses were saddled with onerous stay-or-pay contracts that kept them from leaving their jobs. This settlement will provide these nurses with significant relief, including the cancellation of alleged debt of current and past employees.”
“This resolution is an important step toward protecting the rights of internationally recruited healthcare workers, said Magen E. Kellam, partner at the Law Offices of Magen E. Kellam. “We commend our client for the courage she showed throughout this case. We hope her strength serves as an example for others facing similar challenges.”
“With final approval, the debts that hung over these nurses are now canceled for good,” said Juno Turner, litigation director for Towards Justice. “No class member will ever again face a lawsuit or a collection demand for choosing to leave a job. That kind of debt relief is life-changing, and it should be a warning to the nurse staffing industry that stay-or-pay contracts like these won't hold up.”
Under the now-approved settlement, CommuniCare and WorldWide have agreed to the following:
To pay $1,000,000 to the class of 218 nurses.
To fully forgive all outstanding amounts claimed (or that could be claimed) to be owed by Settlement Class members to Defendants. That includes both former and current nurses who decided to end their employment with CommuniCare prior to the end of the contractual term in their contracts with Defendants.
That they shall not seek to enforce any “repayment” provisions in their contracts, or to recover or collect any amount of money damages or penalties from Settlement Class members, due to the decision to end employment with Defendants prior to the end of their contracts.
“This is a meaningful result for approximately 220 nurses,” said Patricia Kakalec of Kakalec Law PLLC. “It is real money in their pockets and the permanent cancellation of alleged debts. Employers who use these kinds of contracts should take note that workers will push back when their actions violate the law.”
Villarin and the Settlement Class are represented by Hugh Baran of Katz Banks Kumin LLP, Patricia Kakalec of Kakalec Law PLLC, Magen E. Kellam of The Law Offices of Magen E. Kellam PA; Juno Turner of Towards Justice, and Gus M. Shihab of The Law Firm of Shihab & Associates Co. LPA.
Class members have already been notified if they are part of the settlement class. They can consult www.communicaresettlement.com for more information about the settlement.
A copy of the Court’s Final Approval Order is here.